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Retirement is usually held up as something we all must prepare, plan and save for because it’s the ultimate, natural end-game. However, there is nothing natural about it. In fact, the concept of leaving the workforce at a certain later age and having the money to support oneself was originally a socialist idea! It was adopted by the United States government in the early 20th century as a means to force older workers out of the workforce so there would be room for younger workers. The government then sold the idea to all Americans, branding it as the reward for decades of hard work which spawned many new industries and the rise of Florida as the go-to retirement destination. Though we may think of this as completely normal, it’s only been a popular model for a couple of generations. (The New York Times has this great overview of the history of retirement.)

We’re not fans of the idea of retirement or the notion of retirement planning. It suggests the end of life as you know it or the end of life, period. It’s off in the future, some idealized “some day.” If the picture of that “some day” isn’t your own, or if you don’t find value in delayed gratification, retirement planning may be stressful, painful, or impossible. Some people give up and give in to the pitfalls and distortions of their natures, trapped by self-imposed ceilings. Many people never become aware of living like this, but others do. Each scenario is equally tragic.

We favor the idea of life planning which includes the goal of financial independence plus room to keep living and growing beyond any one financial level, life stage, or age limit set by legislators. Life planning is in the present. It’s a process powered by your intrinsic motivation rather than discipline, which is a lot more comfortable. Our approach begins at the core of who you are rather than a foundation of external factors. Life planning is about being fully alive, growing and developing, and evolving with your money.

Our goal is to help you create and practice a financial strategy that looks out for all your needs, wants, goals, and aspirations. That starts right now and keeps a healthy eye on the future. That’s using your money to support your life as it unfolds, expands, and evolves.

Age in unimportant. Good planning is about what we’re being called to do now and getting on with it.

Disclosures: The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. They do not necessarily reflect the views of LPL Financial. No strategy or process assures success or guarantees against losses.

As many of you know, we are developing an educational arm, Currency Camp, which will start out teaching kids to know & embrace their natures then move into much needed financial literacy skills. The first actionable step, we thought, was to talk with people we know in the financial and educational worlds to get their thoughts and advice. We were invited into a classroom right away, and it was an amazing experience.

A friend made through business networking, (2 Degrees Portland), happens to be a teacher with the Jobs for Maine Graduates program, (JMG), at Freeport Middle School. She was about to launch into a unit on self-awareness. Our philosophy of the 7 human natures fit right in with her curriculum, so we decided to collaborate on a 4-day adventure teaching 11-14 year-olds about their superpowers. Here is a short look at some of the things we learned:

No matter how much they may roll their eyes, middle schoolers are curious about themselves and life around them, and they want supportive, useful information. They’ll even go home and talk with their parents about it. They’ll even dream about it!

Middle School students are as able to make the most out of a “learnable moment” as educators are able to make out of a “teachable moment.” The level of interaction, engagement, and the types of questions the students asked were unexpectedly deep & relevant.

The pre-teach/discover/interact/reflect model is highly enjoyable, no matter one’s nature. We started with an overview of the natures, a developmentally-appropriate survey to discover theirs, a game that got their bodies & minds active, and finished with summaries of their experiences in their own words.

This material, so far, seems to be easier for kids to grasp, accept, and integrate than for adults.

After the last day with the students, we talked about what we experienced and observed. Given that last take-away, we wondered what happens as we get older that closes our minds to new information. Is there a reason adults seem to struggle to embrace certain information while kids can easily relate to it? What does it mean for us that we seem to develop an inability to embrace deeper self-knowledge and strategies for honest, true personal evolution?

This experience has motivated us to continue to develop our educational program, Currency Camp. Though this time we focused on the 7 natures, we have plans to go back during their financial literacy units, and we expect to have our minds blown again.

Where are you in life and what does that mean for your financial plan?

There is a time to work, a time to relax, a time for joy, a time to help others, and a time to be helped by others. We all experience predictable, natural life stages, times when we’re naturally inclined to do, think, and perceive our lives in a specific way. Knowing your nature is part of knowing how to use your money to craft your best life, but understanding your life stage is, too.

Our blog this week is actually a vlog, a short video we created to show you all the life stages, what’s important when, and the true possibility of the human lifespan if we take good care of ourselves. We hope this will help you enjoy your life, every step of the way.

Often financial planning is too closely associated with investing alone. Our approach is a seven-spoke wheel taking into account all the ways in which you interact with money and value as well as all the elements that go into a healthy financial strategy.

By pulling these pieces together you’re able to create a financial practice and strategy that supports itself as you evolve with your money.

Here’s how we do it:

Investing: Of course this includes your investment portfolio and our investment philosophy, but it can also include investing in yourself, your family, your community, small businesses, and in other ways that create more value for you. When helping you plan your investments we help you understand all your options, interpret information and market trends, balance near-term and long-term priorities, and stay connected to your money.

Tax Planning: Taxes are an inevitable aspect of your financial picture. We help you leverage your financial strategy to minimize your taxes.

Estate Planning: This is not only for those with millions in assets. In the event of anyone’s death or incapacitation, estate planning will help ensure loved ones are taken care of, that you are taken care of in the event of incapacitation, minimize estate taxes, and will help avoid legal battles. As your life and finances evolve, so must your estate planning.

Spending: We help you examine how and why you spend your money so that your spending can become intentional, based on creating more value for you. Much financial wisdom tells you to decrease or stop spending your money. We believe that you can spend your money in ways that support your health and wealth.

Earning: Just like your spending, your earning can drain you or empower you. We help you determine your capacity to earn, how you earn, and how to increase the amount of money you earn. Sometimes that means working more, sometimes it means working less. We look at how and in what ways to add value to your earning so you can earn more and protect your ability to earn money, manage savings, invest to diversify earnings, and truly evolve with your money.

Insurance: Part of your full financial plan is recognizing the need to protect what you’ve got so that you can manage your current situation and pursue the next level. We help you prioritize your protection needs and the insurance plans to meet them, which can change through out your financial evolution.

Leverage: We help you find ways you can make your life easier, less expensive, and move closer to financial independence. Often what you do in one area of your financial plan will benefit another, for example you can may leverage your investments to reduce your taxes or spend money in a way that gives you the ability to earn, save, or invest more money. As your financial plan evolves new opportunities will emerge, and having a full, comprehensive, customized financial plan positions you to make the most of them.

Disclosures: The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. They do not necessarily reflect the views of LPL Financial. No strategy or process assures success or guarantees against losses. LPL Financial and shepard FINANCIAL representatives do not offer tax or legal advice. We suggest you that you discuss your specific situation with a qualified tax or legal advisor.

Job & Own:from 16 to 18 it’s important for kids to do something for the world at large and get paid for it. Babysitting, mowing lawns, scooping ice cream, walking dogs- owning the responsibility of reporting on time, working diligently, having a good attitude, keeping commitments, and planning ahead are all important things to learn at this stage. Their ability to earn money and have savings is a gift made possible by your generosity, and they will need help securing that first outside job or turning a hobby into an entrepreneurial venture. Your time, connections, attitude, energy, and love are more important than your money as you help them become independent, (rather than “I-dependent”). Introduce them to the costs of more independence and consider charging them for services rendered or backing off some of their allowance. Up to now their stuff has actually been yours, and they are motivated to get a job so that they can own their own things. They’ll become more selective about their friends, clothes, activities, etc., letting go of some things and cling more dearly to others. This is a time to allow them to learn about how money works and become engaged in the ownership of money gifted to them, and if you have investments earmarked for college consider transferring unofficial ownership to them.

Suggested allowance: again, customize appropriately.

Suggested expectations: engaging with money as a source of positive energy.

Self-Development & Leverage: there are many ways to continue to invest in our kids and ourselves. In the 19-21 stage kids learn to be interdependent because nobody can accomplish much on their own; we all need good people, and people need us to be good. Help your kids maintain interconnectedness through summer jobs, inviting them to participate in the care of their homestead through chores when they are around, and schedule these in the mornings. The more people invested in their success, the less likely they are to give up, and the more likely they are to stay connected to the value of the experience not just the price. Your kids should be involved in all factors that go into paying for school, including having a say in how assets are liquidated, how much money is borrowed, and how much of a work-load to take on in order to actually learn. If they need to borrow money it’s best to go to the bank and apply in front of someone they know; kids at this age should be able to make a case that they are a good risk, and the bank or others extending credit should be clear about their expectations. At this stage you’re really there to encourage, support, and ground your kids. As long as they know you’re there for them they can feel free to reach for the sky. The challenge at this point is to let them go and allow them to make small mistakes that help them learn without snowballing into something that can take your financial house down with it.

Disclosures: The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. They do not necessarily reflect the views of LPL Financial.

Chores & Earn: from 10 through 12 kids can adhere to some routines that help the household function better. The tasks they once helped you with now become chores that are their responsibility. When children have ownership and responsibility they have things to trade; the more entrepreneurial among your family may end up doing all the work, but they might end up with all the money, too. (A good book: Lunch Money by Andrew Clements about a kid who makes a fortune off his older siblings.) In this stage you are helping them with chores that are under their purview. “Let me help you (insert chore),” or “how can I help you XYZ” are a great means to give them jump-start getting something done. A slight increase in allowance will empower and enable them to start buying the things they want, like specific clothes or shoes, that you were likely to purchase anyway.

Suggested amount: $10+, customized to your family.

Suggested expectations: their ownership of their chores should come with a new level of quality and few reminders.

Work & Save: in early adolescence children go through another great developmental leap. From ages 13 to 15 they are far more socially aware, and often they want to buy the cool stuff or go to awesome places but don’t have the money. Now is a time to impress upon them the idea of having a financial goal and working to earn money over and above what they, and you, have come to expect. Doing more voluntarily because they have needs and desires should be encouraged. You’ll need to support creativity and expose them to more and more of your finances and financial decisions. Kids in this stage can learn to do more at home and venture outside the home to earn extra money. They are primarily interested in fitting in and being a part of a peer group, so they are beginning to respond less to what you say and pay more attention to what you do. Speak less and work along with them more. Pay them with cash and open a bank account for them to put a portion of their earnings into savings. They may ask for more work only occasionally, but you can offer opportunities to earn more money.

Disclosures: The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. They do not necessarily reflect the views of LPL Financial.

Teaching our kids about money and financial health is critical. According to a great article from the Wall Street Journal, despite the best intentions, we’ve been getting this all wrong. “Most children still grow up into adults who can’t properly save, spend, and budget,” and invest, leverage, and give. In other words, kids are growing up without an understanding of money as a neutral tool to help them create the lives they want and instead arrive at adulthood with financial anxiety, unable to speak about finances rationally, and unable to distinguish cultural associations and personal emotions all too often attached to money.

So what do we do? How do we instill in our children a healthy financial perspective and the ability to navigate finances with confidence?

The answer is honestly simpler than you might think. We’ve gone back to our philosophy to create a developmentally appropriate, easy to integrate approach to teaching children about money and value, and it centers around allowance. The benefits are many: kids learn about themselves and their relationships to money & value while earning some money, and parents are able to eventually off-load some work they’d otherwise have to do themselves. The plan is customizable, and each family can determine the amount of allowance as well as specific expectations and chores.

This strategy spans from birth to age twenty-one, and we’ve broken that time into 7 distinct stages. Each stage naturally comes with its own challenges and opportunities. Your role is to identify and make the most of them. They are:

Need to know: before jumping in we need to introduce some necessary vocabulary. Each stage goes through three phases: Assurance Ensurance, and Insurance. These phases will look different at each stage, and your children will need you to be responsive to each one. When in Assurance, they’ll need you to be supportive and to show, tell, and model what they need to know. Each stage will demand that you give your children Assurance support for a good while in the beginning, especially when they are younger, and it requires an investment of your time more than anything else. Ensurance isn’t a word you’ll find in the dictionary, but it’s absolutely the right word to describe making sure, ensuring, your children have enough practice and anything else they need to develop a strong, healthy habit. The Insurance phase is the pay-off for you: you’ve invested in your kids up front and installed in them habits that minimize their risk of back-sliding. By the time you and your kids reach Insurance they are moving along under their own steam.

Additionally your children are born with their natures intact. In order to be the best mentor and guide you can be you’ll need to do your best to identify their natures. It’s not as though they can take our surveylike adults can, so we’ve created this guide to help you identify their natures as accurately as possible as early as possible. More here…

Jumping in:birth to 3 years is characterized by discovery and massive developmental leaps, something that doesn’t come around again until early adolescence. Your children will need you to be in Assurance all of the time. [Read more.]

Play & Competition:kids from 4 to 6 are fun, playful, and naturally competitive. Playing games introduces them to rules, winning, and losing graciously. When in Assurance you’ll demonstrate the rules of fair play and sharing. [Read more.]

Help & Cooperation:by the time kids are 7 they will want to help around the house. In the 7-9 years children naturally want to please their adults and relate their value within the family to being asked to do things and go places. [Read more.]

Chores & Earn:from 10 through 12 kids can adhere to some routines that help the household function better. The tasks they once helped you with now become chores that are their responsibility. [Read more.]

Work & Save:in early adolescence children go through another great developmental leap. From ages 13 to 15 they are far more socially aware, and often they want to buy the cool stuff or go to awesome places but don’t have the money. [Read more.]

Job & Own:from 16 to 18 it’s important for kids to do something for the world at large and get paid for it. Babysitting, mowing lawns, scooping ice cream, walking dogs- owning the responsibility… [Read more.]

Self-Development & Leverage:there are many ways to continue to invest in our kids and ourselves. In the 19-21 stage kids learn to be interdependent because nobody can accomplish much on their own; [Read more.]

You’ve likely heard the saying, “it’s the journey, not the destination,” and this strategy for helping your kids evolve with their money is a wonderful journey with a fantastic destination. You and your children will appreciate and learn a great deal from this intentional, organic process, and you both win at the end: you’ve raised a kid who has healthy money habits and perspective, a kid who knows herself or himself and understands money as it relates to his/her nature.

Disclosures: The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. They do not necessarily reflect the views of LPL Financial.

Discovery & Curiosity: birth to 3 years is characterized by discovery and massive developmental leaps, something that doesn’t come around again until early adolescence. Your children will need you to be in Assurance all of the time. To teach them kindness, you’re kind, for example. You’re modeling affection, stability, sharing, compassion, and many, many other positive behaviors. In infancy this is all you do, but as children become toddlers and begin to understand cause and effect there becomes an opportunity to experiment with rewards like stickers and other little items. Money is best put into a piggy bank, first by you then by your child, and larger gifts should be set aside until they’re older.

Play & Competition: kids from 4 to 6 are fun, playful, and naturally competitive. Playing games introduces them to rules, winning, and losing graciously. When in Assurance you’ll demonstrate the rules of fair play and sharing. You provide your kids with food, clothes, shelter, entertainment, and unconditional love, and you’ll have your own set of age-appropriate expectations such as taking care of certain physical needs, (like tying shoes or using the bathroom), communicating pleasantly, and generally conducting themselves with appropriate self-sufficiency. Introducing a weekly allowance because they are members of the family is a good idea. They aren’t yet ready to work for the money and are still learning that money is something exchanged for things they may want. You can use proxy money like marbles which represents a comfortable amount which your child can then exchange with you for real money. They can use this money to buy things or gifts, but they’ll need to be taught how to count it. In this stage you all can have a lot of fun together!

Help & Cooperation: by the time kids are 7 they will want to help around the house. In the 7-9 years children naturally want to please their adults and relate their value within the family to being asked to do things and go places. They will need a fair, balanced cooperative system because they keep track of value. They count the number of times they get to spend time alone with you, and the special things Dad does with Son will be noticed by Daughter. In Assurance, you’ll need to create this system. This is a good time to teach them the difference between “no” and “not right now.” Help them learn to save for the things they want and give them ways to earn money for helping out. Increase allowance slightly along with raising expectations. In this stage they begin to help you, though there is a difference between the quality of kid work and adult work, but it will improve with time!

Suggested amount: $5. However, if agreed-upon expectations aren’t met, (by not doing them, cheating, something other than doing them with understandable kid-quality), they haven’t earned their whole allowance; in this way fines are introduced.

Suggested expectations: (in addition to the above), set the table, put away clean dishes, take out trash, recycling, and/or compost, fold laundry, help prepare food, help with yard work.

Disclosures: The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. They do not necessarily reflect the views of LPL Financial.

As parents we know that our children are born into this world exactly as they are; their natures are already there, and it has nothing to do with us. Having a sense of who our kids are helps us be better parents, helps us relate to them as they need, and helps the family create an inclusive, stable structure.

Your perception of your child’s nature may change over time, which is pretty common, or you may nail it right away. Here we’ve attempted to capture the essence of each nature so that you can identify the essence of your child. It’s not always about distinct behaviors but the underlying attitudes and distinct perspective of each nature, something we’ve illustrated using rules and how each nature relates to them.

The first nature is the Reactor, and kids with this nature are reactive and instinctive, often acting before thinking. Reactor kids play hard, can be impulsive, and seek out stimulation to which they can react. They like to win, can sometimes be needy, and tend to create chaos. They find a way to get what they need, sometimes taking from others or using their relationship currency to get others to give something to them. They stand out in situations that call for being highly instinctive like playing music or sports, and they can also be highly motivated and resilient. Reactor kids appreciate rules because they can react to them.

Feeler kids are prone to emotional ups and downs. When they’re up they are often excited, confident, and full of energy. When they’re down they tend to be drained, spent, and sometimes immobilized. They can be dramatic, sentimental, and sensitive. If they have treats, they’ll eat them all and just go without until they get more. Their decisions and motivations depend on their feelings. Feelers like to have fun! Feelers relate to rules based on how they feel about them and may try to bend them or have some fun with them accordingly.

Kids who are Workers are always busy in one way or another. They are comfortable with constant work though sometimes that work can be mental and hard to see. Often sharp, analytical, and eager, Worker kids are motivated by the satisfaction they get as a result of their efforts, and a little recognition goes a long way. They can also be rigid and so intense they experience a high degree of stress. Workers appreciate rules because they provide a framework within which to do, strive, and work.

Saver kids like to savor, gather, relax, and save. They may have collections, save their favorite candy until it’s too yucky to eat, and often prefer to be independent. Typically cautious and composed, Saver kids prefer to recharge alone. They like to accumulate things and don’t like to throw anything away, sometimes developing an unhealthy attachment to stuff. They often want the biggest serving, (if they can’t have the whole thing), avoid change, and take on the role of the family, classroom or social savior. Savers like the rules because they create security and comfort.

Investor kids are often rather resourceful and able to use what they’ve got to create more of what they want. They usually seek out gratification and are enthusiastic, productive, and clever. They often appear to be hard-working, but unlike the Worker, they are motivated by joy and like to revel in their successes. Sometimes erratic, daring, or thrill-chasers, Investor kids are all about the experience, what they put into it and what they get out of it. Rules provide a structure within which Investors can create, invent, construct.

Levers prefer things to be easy and are often excellent team-players. They are the kids who make collaborative projects seem like a good idea because they are so good in a group! They are able to give and receive help. They can sense opportunities but may manipulate or exploit others in order to get the most out of those opportunities without doing much of the work. Because they want everything to be as easy as possible, they aren’t always motivated to try or learn things that don’t come naturally to them unless they understand that doing so will ultimately make their lives easier or better in some way. Rules are okay with a Lever as long as they don’t make life more confusing or difficult which only causes a Lever great frustration.

Giver kids are able to share and have a great deal of compassion for others and the world around them. They like to share so much they sometimes can’t see that others don’t want what they try to share! They are natural leaders even if they can’t quite articulate where they’re going. They are often highly intuitive, generous, and thoughtful with an ability to envision what comes next, even in a complicated game of pretend. They may be quite gifted in a certain area, so much that other areas of their lives can be ignored or underdeveloped. Rules help Givers determine how to be of benefit to others.

We believe passionately that you have all the talents and strengths you need to create the life you want, and we’re dedicated to help you transform your money into an empowering, creative tool. There are7 distinct human natures, each having their own set of strengths and challenges, their own interpretations of words, their own perspectives, and their own traps. Because there are 7 human natures, self-help experts, including personal finance “gurus”, often fall short: they are unconsciously speaking to those who share their natures leaving those who don’t unable to understand, apply, and integrate well-intended advice.

If you know your nature you have the context within which your thoughts, beliefs, actions, and patterns make sense. Tips, strategies, and advice of any kind are more easily and appropriately understood, applied, and integrated because you know who you are. It is possible to take what you need and leave the rest without suffering another failed diet, exercise regimen, relationship plan, or financial strategy.

In just seven questions we’ve created a way for you to name your nature, learn more about it, and begin to filter your experiences through it. Our aim is for this information to give you a healthier, clearer perspective of yourself, your many opportunities financial and otherwise, and the world around you. Just click the image.

Disclosures: The opinions voiced in this material are for general information only and are not intended to provide specific advise or recommendations for any individual. They do not necessarily reflect the views of LPL Financial.

The LPL Financial Registered Representatives associated with this site may only discuss and/or transact securities business with residents of the following states: ME, AZ, SC, CT, FL, IL, MA, NH, NJ, NY, OH, VA, and WA.